QLD Government offers $500m interest free loans to help ECEC

The Queensland Government has announced a new $500 million loan facility, interest free for the first 12 months, to support businesses, including those operating early childhood education and care (ECEC) services, to keep Queenslanders in work.

Along with the loan facility announcement, the Queensland Government will extend the coronavirus payroll tax deferral to all businesses across the state, something Premier Annastacia Palaszczuk said is in response to the evolving impacts of the pandemic, which demand “a rapidly evolving response from Government”.

“We know just how tough Queensland families and businesses are doing it in the face of this pandemic,” the Premier said.

“We know the effects of this outbreak will grow and intensify, and as they do, so will our measures to protect Queenslanders health, their jobs and their businesses.”

Deputy Premier and Treasurer Jackie Trad said the $500 million concessional loan facility would comprise loans of up to $250,000 with an initial 12-month interest free period for businesses to retain staff.

“The Queensland Government already backs farms and businesses with assistance loans in times of natural disasters,” Ms Trad said.

“Through the Queensland Rural and Industry Development Authority, we already have the mechanism in place to start rolling these loans out the door as soon as possible to help Queensland businesses keep staff on and survive this downturn.”

The Deputy Premier said in just two weeks, the initial offer of payroll tax deferral had already been taken up by almost 300 small and medium businesses.

“As the Prime Minister has pointed out, it’s small businesses that are hurting the most, and it’s them we moved to help first with our initial payroll tax deferral earlier this month,” she said.

“But we are seeing this outbreak is having a devastating impact on all Queensland companies, large and small, so now we will extend the offer of a six-month payroll tax deferral to all affected businesses across the state.”

“We know the deferral for small businesses was popular – in the first fortnight we’ve already seen companies from the Gold Coast to Far North Queensland take up the offer.”

As with the initial payroll tax deferral offer, the Office of State Revenue will also work with affected businesses to create repayment plans for the deferred tax liabilities.

Information on the concessional loans will be available here from the end of this week, with Information on payroll tax deferral to be found here.